Chapter 2133 Changes in Profit Rates

Yin Jun delivered things in Shuchuan very quickly, but at the instant noodle factory of Qilin Food Company, he was extremely busy because of this.

Now there are two Qilin instant noodle factories.

The first one started production in Huajing in 1982, with 15,000 workers and hundreds of production lines, with an annual production quota of 2.5 billion packs.

The second one started production in Guangdong in May last year, with 10,000 workers and a yearly production quota of 2 billion bales.

Among them, most of the products in Guangdong Province are sold abroad.

The instant noodles produced by Huajing are to supply the growing domestic demand.

Yes.

Although life is much better now, the sales volume of instant noodles is increasing.

Because more and more people are used to the busy life, if it is too late to eat, then the steaming instant noodles that can be eaten in three minutes after soaking in a bowl of boiling water is their best choice.

It is hungrier than the steamed buns and porridge outside, and it is much cheaper than a bowl of big meat noodles and a rice bowl outside.

0.99 yuan a pack of instant noodles, I thought it was very expensive 4 years ago, but after 4 years, I don’t think it is expensive anymore.

Four years ago, 0.99 yuan a pack of instant noodles made people feel that they were luxury goods, and ordinary people could not eat them casually.

But 4 years later, when almost all the prices of goods are rising, the price of Qilin instant noodles has not increased by a cent, and the weight and taste are the same as before. What a conscientious company!

As long as normal people know that whether it is labor or raw materials, when there is a substantial increase, if the price of a product does not increase and the quality does not shrink, you must have made a great sacrifice in terms of profit.

Of course, only a few people like Niu San'er know the ratio of the cost to profit of Qilin instant noodles.

To be honest, at the beginning, Niu San’er couldn’t believe it when he saw that a pack of instant noodles cost 0.99 yuan. After deducting all the expenses, the gross profit rate actually reached 61%, that is, a net earning of 60 cents per pack.

He couldn't believe that the cost control was so low, because the workers were paid a lot of wages, and the purchase of various raw materials and other expenses were also a lot.

But on average, it can almost double the profit on 1 pack, which is really scary.

Secondly, he couldn't believe that Yin Jun, who has always been committed to the development of the mainland, actually set such a high price.

In other words, such a high price must have been approved by Yin Jun, otherwise he would not have offered it for sale.

In the era when the people were not yet rich, it was a bit... a bit dishonest to earn so much money from a pack of instant noodles.

But later, starting from 1984, all kinds of prices continued to rise. Niu San'er talked to Wei Xiaofan about the price increase several times, but Wei Xiaofan told him that the price would not change much within ten years.

This made Niu San'er staring at the price of 0.99 yuan in a daze. Until now in 1986, the price really remained the same, and he suddenly realized in his heart.

It turned out that Jun Shao had seen this future, so he preferred to set a higher price at the beginning, and then he insisted on not raising the price, which seemed very conscientious, or very responsible.

Otherwise, given the current dominant position of Kirin Instant Noodles in China and people's acceptance of Kirin Instant Noodles, even if they increase the price by one or two cents, people will not abandon it because of this.

But then again.

In fact, even if the price of Qilin instant noodles does not increase, Niu San'er is still very pleasantly surprised to find that the profit margin has increased to 71% based on the current cost price, which means that a pack can earn another 70 cents.

Incredible, right?

Various costs have increased by at least 50%, but with the same selling price, the profit is actually higher than before! ?

This matter is also easy to understand.

When Kirin Instant Noodles was first produced in April 1982, there was only one flavor of Braised Beef Noodles, and the annual production volume set at that time was 230 million packs.

Under this standard, the profit data of a pack of 6 cents was obtained.

But only half a year later, that is, in September of 1982, Kirin instant noodles added 100 production lines, and increased the production volume to 900 million packs in one go.

After another year and a half, after the Spring Festival in 1984, the total output of instant noodles became 2.1 billion packs per year, of which 600 million packs were sold to Hong Kong, Olympic and Southeast Asia.

Then, on April 1st, only two months later, because of the launch of the two flavors of "Mushroom Stewed Chicken Noodles" and "Spicy Cabbage Ramen", the production line was expanded again, and the total production volume was increased in one go. The volume is 2.5 billion packs.

The last adjustment, that is, in May last year, the Guangdong Province factory of Kirin Instant Noodles opened, with an annual production capacity of 2 billion packs, and another "Tom Yum Kung" flavor was added.

As a result, the annual output of the Kirin instant noodle factory has reached 4.5 billion packs, which is not only 18 times the original design of 230 million packs, but almost 20 times!

Under such circumstances, on the basis of an increase in the production volume of 4.27 billion bales, those increased costs have been substantially apportioned, which has no effect on profits at all.

On the contrary, because more and more sales are made, the profits are getting higher and higher.

Besides, almost half of them are sold overseas every year, and they are sold to dealers. The price cannot be calculated according to the domestic price. The profit of a pack of instant noodles is very high all of a sudden, which is higher than that of domestic products. Twice as high!

Calculated in this way, it is not incomprehensible to earn 10 cents more per pack on average.

Not to mention making more money, this part of the profit is converted into US dollars and brought back to the country, which is more meaningful.

The people above smile when they look at the dollar, and they don't care how much you earn.

It's just that there is only about a year left of this high-profit time.

Since the production started in April 1982, the preferential policy given by Huajing is full tax exemption for 5 years. Your profit is the profit without tax payment, so of course it is high.

In April of 1987, the policy of full tax exemption disappeared, and it became a five-and-a-half-year tax-free preferential policy. However, in this way, the tax to be paid each year was collected according to the amount of 200 to 300 million yuan. .

Of course, there are also export tax rebates, US dollar tax rebates and other benefits, that is, the government encourages you to earn US dollars, and then gives you a substantial tax reduction.

After all the miscellaneous calculations here, the profits in the next five years will not be affected much.

As for what will happen five years later, Niu San'er is not worried at all.

He has dozens of invitations from cities in his hand, all of which invite Qilin Instant Noodle Factory to settle there.

The discounts given by these cities are very large.

The most exaggerated preferential treatment is full tax exemption for 10 years, and halved tax for another 10 years.

These are still second-tier provincial capital cities that think they have some strength. Those prefecture-level cities and even counties want to send out invitations, but they don't have the courage.

If Niu San'er revealed that he wanted to go to these cities, or even small cities and small counties, they would dare to promise tax exemption forever!

Is the production site of the instant noodle factory very demanding?

not tall.

As long as it is a place with convenient transportation, as long as it is a place with complete water and electricity infrastructure, it will be fine.

The Yangtze River Delta, the Pearl River Delta, and the cities in the middle and lower reaches of the Yangtze River all fully meet the standards.

So Niu San'er made up his mind. If the discount expires and Huajing does not give a new discount, then the Qilin instant noodle factory will directly transfer to another city to continue to enjoy more preferential policies.

And salaries in smaller cities are much lower, even in provincial capitals.

Of course, Niu San'er knows that Huajing is not that stupid. The livelihood of tens of thousands of workers is involved, as well as the overall image of Huajing and the name of the joint venture factory. These are all things they need to carefully consider.

If they let the Qilin instant noodle factory leave just for this, then it will appear that they have no vision, and Niu San'er will be glad that the factory has left.

Turn the subject back.

Today's production tasks are actually very intense.

Big dealers in various provinces will send telegrams every day, or call directly, asking for urgent delivery.

The annual production of 2.5 billion bales is distributed to more than 30 provinces and municipalities directly across the country, and then they are distributed to hundreds of cities below, with an average of 10 million bales per city per year.

Considering that the average population of these cities has reached more than 1 million people, the annual consumption of one person is 10 packs.

Is this the reality?

Of course not!

For example, construction workers, young people, and children consume a lot. It cannot be said to be eaten as a meal, but it is casual to eat one or two packs a week.

Besides, the 2.5 billion packages are not all given to the common people.

Among them, more than one-third of the instant noodles are supplied to the soldiers.

Those soldiers stationed on the snow-capped mountains, in the jungle, and beside the rivers work so hard all day long. If they want to eat hot food, it is a huge trouble to boil water for cooking.

Especially when returning from night patrols, or small outposts and bases, how do you let them cook on a large scale?

In the past, I just boiled some military biscuits or other things without salt, and it was enough to satisfy my hunger.

Once the instant noodles come out, it's easy.

They can boil a pot of boiling water, and then make two or three bowls of instant noodles for each person, and they can eat steaming hot delicious food in three to five minutes.

If you still have the conditions, open a box of luncheon meat and add two yuan per person, it will be a day like a fairy.

Regardless of whether instant noodles are not nutritious, if they can eat enough, it is a great happiness and satisfaction.

Because these soldiers are all young people in their twenties, eating two or three packs of instant noodles for a meal is simply a trivial matter.

Therefore, their purchase of instant noodles is very large, basically 500 million packs of purchases per year have entered their category.

In this way, ordinary people will be allocated even less.

You said that under such circumstances, how could those dealers not urge them desperately?

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